NSCs Details Example:
| Principal : | Rs. 60,000 |
| Purchased on : | 3-Feb-2016 (FY 2015-2016) |
| Maturity Date : | 3-Feb-2021 (FY 2020-2021) |
| Interest Rate : | 8.50% |
| Term : | 5 years |
| Compounding Frequency : | Half-Yearly |
Calculation for getting the accrued interest for each FY, to be added to "Income from Other Sources" :
TABLE A :
| Year | FY | FY Interest |
Total Interest |
Balance |
| 1 | FY 2015-2016 | 5,208.38 | 5,208.38 | 65,208.38 |
| 2 | FY 2016-2017 | 5,660.49 | 10,868.87 | 70,868.87 |
| 3 | FY 2017-2018 | 6,151.86 | 17,020.73 | 77,020.73 |
| 4 | FY 2018-2019 | 6,685.88 | 23,706.61 | 83,706.61 |
| 5 | FY 2019-2020 | 7,266.26 | 30,972.87 | 90,972.87 |
TABLE B :
| Year | FY | FY Interest |
Total Interest |
Balance |
| 1 | FY 2016-2017 | 5,208.38 | 5,208.38 | 65,208.38 |
| 2 | FY 2017-2018 | 5,660.49 | 10,868.87 | 70,868.87 |
| 3 | FY 2018-2019 | 6,151.86 | 17,020.73 | 77,020.73 |
| 4 | FY 2019-2020 | 6,685.88 | 23,706.61 | 83,706.61 |
| 5 | FY 2020-2021 | 7,266.26 | 30,972.87 | 90,972.87 |
Which one is correct Table A or Table B?
What does Year 1 above signify? Is it the FY the NSCs are bought or the subsequent FY?
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